WRITTEN AGREEMENT REQUIRED.

(a) In this section, "residential real property" means:

(1) a single-family house;

(2) a duplex, triplex, or quadraplex; or

(3) a unit in a multiunit residential structure in which title to an individual unit is transferred to the owner of the unit under a condominium or cooperative system.

(b) A license holder who performs any act of real estate brokerage for a prospective buyer of residential real property must enter into a written agreement with the prospective buyer before:

(1) showing any residential real property to the prospective buyer; or

(2) if no residential real property will be shown, presenting an offer to purchase residential real property on behalf of the prospective buyer.

(c) The written agreement required by Subsection (b) must:

(1) state:

(A) the services to be provided by the license holder;

(B) the termination date of the agreement;

(C) whether the agreement is exclusive or non-exclusive;

(D) as applicable, that the license holder:

(i) represents the prospective buyer as the buyer's agent; or

(ii) does not represent the prospective buyer as the buyer's agent if the only act of real estate brokerage being performed is showing real property under Section 1101.562; and

(E) the amount or rate of compensation the broker will receive and how this amount will be determined; and

(2) disclose in conspicuous language that broker compensation is not set by law and is fully negotiable.

(d) A license holder who enters into a written agreement with a prospective buyer for the sole purpose of showing real property under Section 1101.562 shall enter into a separate agreement with the prospective buyer if additional real estate brokerage acts are to be provided after showing the real property.

(e) A written agreement with a prospective buyer for showing real property under Section 1101.562 may not:

(1) be an exclusive agreement with the license holder;

or

(2) state a termination date more than fourteen days from the date the agreement is entered into.